EURUSD Movement
For the 24 hours to 23:00 GMT, EUR rose 0.63% against the USD and closed at 1.2740, as investor risk appetite improved on the back of positive economic data by Germany.
In the Euro-zone, the consumer price inflation fell to 2.7% (YoY) in December, compared to a flash estimate of 2.8%. The consumer price inflation stood at a rate of 3.0% (YoY) in November. Also, the ZEW Economic Sentiment Index advanced to -32.5 in January, compared to -54.1 recorded in December.
Germany’s ZEW Economic Sentiment Index advanced to -21.6 in January from -53.8 recorded in December. Also, the Current Situation Index increased unexpectedly to 28.4 in January.
Euro also received a boost after Spain auctioned €4.9 billion of short-term government debt at sharply lower yields.
In the Asian session, at GMT0400, the pair is trading at 1.2782, with the EUR trading 0.33% higher from yesterday’s close.
The pair is expected to find support at 1.2726, and a fall through could take it to the next support level of 1.2670. The pair is expected to find its first resistance at 1.2823, and a rise through could take it to the next resistance level of 1.2864.
Trading trends in the pair today are expected to be determined by the release of Euro-zone’s construction output and the German bond auction.
The currency pair is trading above its 20 Hr and its 50 Hr moving averages.
